Your credit in the USA starts from zero
No matter how good your credit history is in your home country, when you arrive in the United States you start from zero. The American financial system does not automatically recognize foreign histories. But don't worry: building credit is a clear and accessible process, even without a Social Security Number (SSN).
Why do you need credit to rent?
Most landlords check your credit score as part of the rental application. A low or nonexistent score can result in:
Step 1: Get your ITIN number
If you don't have an SSN, apply for an Individual Taxpayer Identification Number (ITIN) from the IRS using Form W-7. With this number you can:
The process is free and you can do it by mail or at a Taxpayer Assistance Center.
Step 2: Open a bank account
Having a checking and savings account demonstrates financial stability. Some banks that accept ITIN include:
Step 3: Apply for a secured credit card
Secured credit cards are the #1 tool for building credit from scratch:
| Feature | Detail |
|---------|--------|
| Required deposit | $200 - $500 (becomes your limit) |
| Requires SSN | Not always (some accept ITIN) |
| Reports to agencies | Yes (Equifax, Experian, TransUnion) |
| Time to see results | 3-6 months |
How to use it correctly:
Step 4: Report your rent to credit agencies
Since 2022, rent payments can be included in your credit history. Services like Experian RentBureau, Esusu, and Rental Kharma report your on-time payments to agencies. This is especially useful if you don't have other credit products.
Step 5: Become an authorized user
If a trusted family member or friend with good credit adds you as an authorized user on their card, their positive history can reflect on your report. You don't need to physically use the card.
Step 6: Consider a credit-builder loan
Credit-builder loans work like this:
It's like "forced savings" that also builds your credit.
What factors determine your score?
| Factor | Weight in your score |
|--------|---------------------|
| Payment history | 35% |
| Credit utilization | 30% |
| Account age | 15% |
| Credit mix | 10% |
| New inquiries | 10% |
Common mistakes to avoid
Can you transfer credit from abroad?
Some companies like Nova Credit offer a service called "Credit Passport" that translates your credit history from certain countries (Mexico, Colombia, India, and others) into a format that some US lenders accept. It doesn't replace local credit, but it can help in the initial evaluation.
Realistic timeline
| Month | What you can achieve |
|-------|---------------------|
| Month 1 | Get ITIN, open bank account, apply for secured card |
| Month 3 | First VantageScore visible |
| Month 6 | First FICO score visible |
| Month 12 | Score between 650-700 with responsible use |
| Month 18-24 | Qualify for regular cards and better rental terms |
Free resources
Building credit takes patience, but every on-time payment brings you closer to better housing options, lower rates, and greater financial stability in the United States.